Council to exhibit draft amendment to Contributions by Deferment Policy
March 26, 2012
Shoalhaven City Council will be exhibiting an amendment to the Payment of Contributions by Deferment or Instalments Policy from Wednesday 4 April.
The draft amendment will allow for the deferment of Section 94 contributions and Section 64 charges in respect of residential subdivisions.
Under the draft amendment, all contributions would be deferred until the point of sale for residential subdivisions, a decision which would allow the developer to pay the relevant charges out of net sales proceeds once the subdivided blocks had been settled.
Shoalhaven City Council Mayor, Paul Green said the decision to defer contributions payments for subdivisions would provide enormous benefits for both developers and the local economy.
“The Global Financial Crisis and the rising costs of development have combined to create a detrimental effect on the local industry,” said Clr Green.
“Council’s decision to amend the Payment of Contributions by Deferment or Instalments Policy will provide significant benefit to the development industry by breaking down many of the financial barriers currently limiting the ability of developers to kick start local projects.
“By easing the burden on developers, Council is hoping to see an increase in the number of new and affordable housing lots created throughout the area.”
“An increase in local development would have the added effect of creating jobs, reducing unemployment and further stimulating the economy.”
Councillor Green said the proposed changes to the amended Policy had already received support from a number of development industry representatives.
The amended Payment of Contributions by Deferment or Installments Policy will be on public exhibition from Wednesday 4 April – Thursday 3 May.